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Teamsters: AHCA Must Repeal, Not Delay the Cadillac Tax

(WASHINGTON) –Teamsters General President Jim Hoffa called on the chairmen and ranking members of the House Committees on Ways and Means and Energy and Commerce to support a repeal of the 40 percent excise tax on comprehensive insurance plans in a letter sent today. Currently, the American Health Care Act (AHCA) only delays implementation of the so-called “Cadillac Tax” until 2025.

The AHCA repeals all of the other taxes that were included in the Affordable Health Care Act, but keeps the 40 percent excise tax in place on high-quality health care plans which will only hurt working men and women who have fought for these benefits. Corporations, device manufacturers and the wealthy get a tax cut under the current guidelines of the AHCA, but middle class workers will be penalized in 2025.

“Congress should be looking for ways to strengthen the middle class instead of promoting policies that will ultimately take money from their hard-earned paychecks and reduce, and make more costly, the health care benefits they receive,” Hoffa wrote.

Founded in 1903, the International Brotherhood of Teamsters represents 1.4 million hardworking men and women throughout the United States, Canada and Puerto Rico. Visit for more information. Follow us on Twitter @Teamsters and “like” us on Facebook at